How To Invest In Penny Stocks

Running a penny stock website I’m often asked… “How To Invest In Penny Stocks” there really is no great mystery.

Step One… Make the decision that you are going to invest systematically.  There are a lot of people who have tried penny stocks, watched it slide, and then turned their backs on what might have been a excellent chance for gains.

Step Two… Be absolutely certain that the capital you have for investing purposes is money that you can afford to lose.  While we have a great track record at we’re only human and no one can pick winners 100% of the time.  The most important part of investing is to do so regularly.

Step Three… Set up an account with an online brokerage house, many of these can be opened for as little as $500, and added to as necessary.  If you don’t have $500 (see step four below)…

Step Four… Save a little bit every month that you plan to use for investing.  While I can’t give you an exact percentage, 10% of your monthly salary would be a good starting point.

Step Five…
Join a penny stock newsletter that you trust.  How can you trust one, check their advice over time and weed out the ones that do not deliver.

Step Six… Prior to making your first actual investment, paper trade (practice trading) so you’ll know how you would have done from one day to the next.

Good penny stocks afford you the opportunity for quick and substantial return on investment.  Even if you’ve been stung in the past, take the time to explore them in detail.